(480) 889-6100 BK-0917799  |  NMLS# 396288

The Government Shutdown is Hurting SBA Loans

The Government Shutdown is Hurting SBA Loans (1)

The government shutdown has been affecting many people across the united states. One area that it is beginning to drive deep into is SBA loans, also known as small business administration loans. These loans make it impossible to get a commercial loan that is often used for purchasing land and commercial properties, as well as other purposes.

When SBA loans fail an investor, they may need to seek alternative financing or wait out the government shutdown. With the way things are going, the alternative financing route may be the best choice to get financed as quickly as possible. Capital Fund 1 specializes in commercial bridge loans that effectively take the place of an SBA loan and are easy to refinance out of once an investor has long term financing lined up.

By choosing to get a private money loan in the place of an SBA loan investors can avoid the risk of a deal falling through, which could cost them significantly. If a seller decides to not push back a closing date agreement, a real estate investor could lose the escrow money that they had been given to the seller. Another risk that buyers take on is the seller could become impatient and sell to a cash buyer instead. While it wouldn’t be a loss of your escrow money, it could be a loss to a business opportunity.

Using an interim loan, or a commercial bridge loan could be the exact thing that you need to save your real estate investment from falling through during the government shut down.

So how else can you use a private money loan from Capital Fund 1? Maybe you aren’t looking at a commercial property, but we also fund construction, land acquisition and development, as well as non-owner-occupied residential investment real estate purchases and refinances. Typically we are able to provide a same day loan quote, or a loan quote in 24 hours to help real estate investors and developers work towards closing a real estate purchase on time.

 

Leave a Reply

Contact Us

Find Us

  • 14555 N Scottsdale Rd #200
    Scottsdale, AZ 85254
  • Phone: 480.889.6100
  • Fax: 480.361.8628
  • Hours: Mon-Fri 8am-5pm

Latest Posts

  • Arizona Private Money Lender for Home Rehab and Remodel Loans
    Arizona Private Money Lender for Home Rehab and Remodel Loans
    Capital Fund 1 is different from banks. There is no complicated application process or credit check. Our home rehab loans can be used for the purchase and the improvements that are needed in one loan. This is beneficial if the property has good bones but needs significant...
    Read more
  • Rental Property Loans
    Rental Property Loans
    Long-term rentals are regularly in demand, and the need for quality rental properties will almost always remain relevant. In particular, short-term rentals are increasingly popular in today’s economy and culture, and their dynamic nature provides a unique investment opportunity for those interested in building their personal wealth....
    Read more